ecotrix practice ques..try dis

[Akshay Jain]

Consider the following regressions
Y = a + bt + u
And
log(base e) Y = c + dt + u
where Y is the GDP and is strictly increasing over the time period in consideration and t is time
which of the following statements is false?
1. The interpretation of b is different from the interpretation of d
2. Value of b is different from the value of d
3. The under root of mean RSS of 1st model is equal to exponential[under root of mean RSS of 2nd model]
4.value of b is greater dn the value of d
5.none of the above

[Homer Simpson]

3 is false?

[ViV]

3rd

[Ridhika]

okay wow.

how do you compare these two equations?! Where shall I study this from?!

[ViV]

Chapter 6 Basic Gujarati

[Akshay Jain]

Its not 3....think again

[ashutosh]

d. ?

[Homer Simpson]

is it 4?? since b is actual change in Y, should it be bigger than the growth rate of Y??

[Dreyfus]

Sslope of second eq is d=by
Thus d>b, 4th is false...

[ViV]

I think all are correct so 5th is my final answer.

[ashutosh]

sry had to write e only.

[Akshay Jain]

All are correct so 5th is d ans

[ViV]

@Akshay :

[Akshay Jain]

Vl try to think of more such questions in future.....

[don123]

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[Akshay Jain]

Thanx man.....great observation....

[don123]

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[Homer Simpson]

so, just to confirm, 4 is the answer??  

@Akshay, can you please help out with problems 11 and 24? not getting how to do them :(

http://admissions.jnu.ac.in/JNU_QPs/2013/54_A_M.A,%20Economics%20With%20Specialisation%20in%20the%20world%20Economy.PDF

[Akshay Jain]

yes the ans shud be D
theoritically its like dis
dY/dX = b in 1st model
and
dlogY/dX=(1/Y)*dY/dX = d
so comparison can only be done if we are given the units in which Y is measured
if Y is greater dn 1 then b>d
if Y lies b\w 0 and 1 den b<d (the behavior of log play the role in this case)

[Akshay Jain]

(in the question it shud be i in place of 1)
Consider five urns numbered 1 to 5, where each urn contains 10 balls. Urn 1 has i
defective balls and (10 - t) nondefective balls. In an experiment, an urn is selected at
random, and then a ball is selected at random from that urn. What is the probability
that a defective ball is selected? If the ball is defective, what is the probability that it
came from urn 2?
now try the question
last year during exam I was not able to understand the ques and hence left...